Clarion-Ledger du lieu suivant : Jackson, Mississippi • Page 28

fr Stocks, 5-6B Wall Street, 7B Treasury bonds, 7B Commodities, 7B usiness Dow surges 32.10 I The Clarion-Ledger Friday, May 1, 1987 PORTFOLIO Fed to prop up dollar, stop rise in inflation From Staff and Wire Reports ing, the Treasury's bellwether 30-year bond, initially down as much as 2 points, or $20 per $1,000 face amount, was $12.50 higher at midday. Corporate and municipal issues also were up sharply. The Fed chairman also said that the dollar has "absolutely and fundamentally" fallen far enough on world money exchanges. Almost simultaneously with Volcker's comments, Japanese Prime Minister Yosu-hiro Nakasone, visiting Washington as economic strains between the two countries escalate, told President Reagan at the White House that he had instructed the Bank of Japan to start operations to lower short-term interest rates. That is the precise move Volcker advocated and also would help maintain the dollar's value against the yen.

Some analysists agreed. Michael K. Evans of Evans Economics said the bond market "was getting hysterical" over the dollar's falling value, fueling the interest rate jumps. While short-term U.S. interest rates might still go up, Evans predicted, longer-term rates probably will fall, at least slightly.

Allen Sinai, chief economist for Shearson Lehman Brothers in New York, also said the tightened money supply could have the seemingly paradoxical effect of limiting interest rates. "If the financial markets perceive it that way (anti-inflationary), and they are at this point, then longer-term rates can move lower but lower only to a point," Sinai said. The credit markets also reflected enthusiasm for Volcker's comments. In early trad While there has been speculation that Fed action was involved in the rising interest rates, Volcker's comments were the first public confirmation that the nation's central bank had stepped in. But Volcker, while acknowledging that the Fed was in part responsible for rising interest rates, also said lie expects the Fed's action to lend some stability to the markets and, over the long run, to lower interest rates.

The fact that someone is "minding the store" on inflation should help ease the fears that have made interest rates so volatile in recent weeks, he said. The market psychology, along with uncertainty about the trade bill being debated by Congress, has fueled that volatility, Volcker said. The Associated Press WASHINGTON Federal Reserve Chairman Paul A. Volcker confirmed Thursday that the Fed has stepped in to slow the dollar's fall on world markets and to nip a rising inflation rate at home by tightening the nation's money supply. Volcker, testifying before a House Banking subcommittee, called the action "a slight snugging" of monetary policy, and suggested that central banks abroad, particularly in Japan, should act to lower their nations' interest rates in response.

Inflation has been creeping upward all this year, with the Consumer Price Index up at an annual rate of 6.2 percent for the first quarter. Interest rates, a brake on inflation, have been climbing for the last few weeks. Mississippi Employment Total employment 1,156,800 Biloxi-Gulfport MSA (7.5) I Columbus-West Point- HZstarkville (4.5) V- DeSoto County (2.8) Xr-Hattiesburg (2.7) All others Irf 4-Jackson MSA (17.4) Vy Meridian (3.2) Pascagoula MSA (4.7) Tupelo (2.9) Source: Howard, Weil, Labouisse, Friedfichs March 1987 Clinton couple is betting condominiums on track I By GLEN FEIGHERY Clarion-Ledger Business Writer Susan and Doug Williams don't believe there's such a thing as the wrong side of the tracks. The self -prof essed newcomers to the real estate business are betting they can eradicate old perceptions about living downtown and attract customers to buy condominiums there on the west side of the Illinois Central Gulf Railroad line. The object of their plans: the former Jackson Lumber Co.

building, a long, narrow, four-story brick structure erected 100 years ago as a boarding house. The long-abandoned building currently is in disrepair: many of its windows are broken and a sign for paint supplies is peeling off one wall. But the Williamses think the building has a future as 326 Capitol Place, fitted out with 11 condominiums ranging from 750 to 1,500 square feet Selling in the 10,000 range, the units will be aimed at luring "The yuppie, the downtown person, business people, leg-, islators," Doug Williams said. Before the first nail is hammered, however, the couple will have to sell their idea. They have an option to buy -the property and financing for the venture hinges on whether they can pre-sell five units.

Current owners of the properties include R.C. Stockett and David Ingebretsen. Susan Williams cites herself and her husband as typical of the clientele they hope to attract. "We live out in the country, (near Clinton) and both work downtown. We wanted a small apartment in town where we could live Monday through Friday." They plan to take one of the units themselves, she said.

Marketing the new development has been mainly word-of -mouth, Doug Williams said. They've also investigated how to obtain historical designation for the building. The reason for the latter move is more practical than sentimental; a listing on the National Register of Historic Places would translate into a 20 percent tax credit on restoration costs. The Williamses, both 30, consider the location at the northeast corner of West Capitol and Gallatin streets an asset. They cite the recent openings nearby of the Iron Horse Grill, a Mexican restaurant located in a renovated meat storage plant, and the Governor's Office of Federal and State Programs, which occupies a former warehouse, as examples that the area is enjoying a rebirth.

"If they do something with the King Edward (Hotel), this end of town is just going to go crazy" with new development, Doug Williams said. "We'd like to see an improvement in the appearance of the (railroad) viaduct so it is not a division, but a gateway to our project." Another selling point: The Williamses expect property values in the area to rise as development there continues. One person who subscribes to this belief is David McWilliams, who last year opened the Iron Horse. "The appraised value of property has gone up since we've been here," said McWilliams. "There's a lot of vacant land around here that is going up in value." McWilliams said that the success of his establishment has helped improve how people perceive the area.

"Everybody else thought it was a gamble, but I didn't," he said. "Our experience here at the Iron Horse has been great Real estate is a new line for the Williamses. Doug is involved with Douglas a family business involved in janitorial and other services, and Susan is vice president of Country Originals, a small import firm; together, they are partners in International Tours franchises in Clinton and New Orleans. "We had never been in the real estate business," Doug Williams said. "We were like first grade.

This has been a learning experience. We thought it would only take three months, and so far it's taken a year. But it's definitely going to happen." Factory orders rise 2.3 with boost from military WASHINGTON Bolstered by another big jump in demand for military equipment, orders to U.S. factories rose 2.3 percent in March, the Commerce Department said on Thursday. The department said orders for both durable and non-durable goods climbed to a record $198.89 billion in March, surpassing the previous high of $197.15 billion set in December 1985.

The March increase followed a 4.1 percent February advance, but the strength in both months was heavily influenced by a surge in demand for military equipment. UAL makes proposal to pilots NEW YORK The head of United Air Lines' parent company said Thursday the company is willing to discuss financial participation in United by the pilots and other employees. The statement came a week after the company's board rejected a proposal from the pilots union to buy United for $4.5 billion. The directors said the airline was not for sale. Richard J.

Ferris, UAL's chairman and chief executive officer, would not detail what sort of participation the company was willing to consider for United's employees. Computer chip firms to merge SUNNYVALE, Calif. Advanced Micro Devices Inc. and Monolithic Memories Inc. on Thursday announced plans to merge through a stock swap valued at about $420 million at current prices.

The merger will create the world's largest company devoted exclusively to the manufacture of computer chips, the companies said. Firestone moving its home AKRON, Ohio The Firestone Tire Rubber Co. will move its corporate headquarters from Akron to Chicago later this year, the company announced Thursday following a meeting of its board of directors. Firestone said the move would affect about 450 of its 1,800 salaried employees based in Akron and was expected to take one year to complete from the time it begins in the second half of 1987. The Southern Co.

earnings fall ATLANTA The Southern Co. announced first quarter earnings of $191 million, or 67 cents per share, both slight decreases from the same quarter a year ago. Edward L. Addison, president of The Southern which is the parent firm of Georgia Power, Alabama Power, Gulf Power and Mississippi Power, said earnings were down $5 million and earnings per share were down 4 cents from the first quarter of 1986. Michael Baker earnings rise Michael Baker Corp.

earned $168,390, or 9 cents per share, during the first quarter ended March 29. That was up from $131,461, or 7 cents per share, during last year's first quarter. Income from contracts was $18.7 million, compared with $11.1 million during the first quarter of 1986. Beaver, Baker operates its Southern Division from Jackson. Bureau opens toll-free number The Better Business Bureau of Mississippi Inc.

now has a toll-free number that consumers and businesses can use, said John LaCourrege, executive director. The toll-free number is 1-800-624-6222. The spokesman said the toll-free number was established to improve service throughout the state. The bureau has offices in Jackson, Columbus, Hattiesburg and TOM ROSTERThe Clarion-Ledger Doug and Susan Williams propose to convert the former Jackson Lumber Co. building at the northeast corner of West Capitol and Gallatin streets into 326 Capitol Place, a condominium complex tailored to Jackson-area residents who work downtown.

PSC rules today in Grand Gulf audit ies, including Mississippi Power Light Louisiana Power Light Arkansas Power Light and New Orleans Public Service Inc. U.S. District Judge Henry T. Wingate cleared the way for the hearing Thursday. SERI had filed a request Wednesday for a temporary restraining order to bar the commission from holding the hearing, bringing the issue into the federal courts.

Late Thursday Wingate accepted a compromise agreement from attorneys allowing the commission to proceed with today's hearing, but putting off arguments on the certificate case until May 19. Meanwhile, Wingate scheduled arguments on the restraining order for May 15. Southern District Commissioner Lynn Havens said he didn't know what avenue of appeal the commission will take if Wingate imposes the restraining order on May 15. SERI spokesman Lincoln Warren said the Company will continue to maintain the state commission has no jurisdiction in the matter. also the target of state audit efforts, is conducting a separate appeal through the state courts.

By GAYNELL TERRELL Clarion-Ledger Business Writer The state Public Service Commission will rule today on whether to dismiss a motion by the operator of the Grand Gulf nuclear plant to stop state action the company says could ruin it financially. If the motion is denied, System Energy Resources will be required to show cause as to why it should not be required to cooperate with the commission in a complete audit of SERI operating records. The commission has threatened to lift the nuclear plant's operating certificate if the company refuses to cooperate in the audit, a move that would jeopardize SERI's credit rating with foreign and domestic banks that provide financing for the construction of the $3.5 billion nuclear plant near Port Gibson in Claiborne County. SERI has resisted the audit by maintaining it is a wholesale supplier of electricty, and thereby subject only to regulation by the Federal Energy Regulatory Commission. SERI, a subsidiary of Middle South Utilities, supplies poorer to four Middle South operating compan Investor group sells Jackson TV station to New York firm The Associated Press New York-based Price Communications entered the Jack-t son television market Thursday, announcing it had purchased WAPT-Channel 16.

WAPT was among four stations sold to Price by Clay Com-I munications Investors, the current owner of the ABC affili-; ate. The price tag on the deal, which was announced to Channel 16's staff on Thursday morning, was $60 million for all four stations, said Ben Strickland, WAPT general manager. The sale is subject to approval by the Federal Communications Commission. "We are delighted with the prospect of being increased to an eight-station chain. These people know the unique challenge of a UHF operation They are well thought of and we will be expanding our role in the Jackson market," Strickland said.

Clay Communications announced in January it was soliciting bids for the company. The Charleston, W.Va.-based company sold its four newspapers, including the Charleston Daily Mail, to Thomson Newspapers Inc. of Toronto, Canada, April 16. Along with WAPT, Price purchased WWA in Wilmington, N.C.; KJAC in Beaumont-Port Arthur, Texas; and KFDX in Wichita Falls, Texas and Lawton.Okla. Price Communications already owns four TV stations WEEK in Peoria, WZZM in Grand Rapids, KRCG in Jefferson City, and KSNF in Joplin, Mo.

Price also owns several AM and FM radio stations around the including WTIX-AM in New Orleans. Robert Price is the president and 6.7 percent owner of the company's stock, along with Citicorp Venture Capital, 13 percent; John Hancock Life, 13 percent Lincoln National Direct Placement Fund, 6 percent; and the public, 61.3 percent, according to Broadcasting magazine's 1986 yearbook. All three of Jackson's network affiliates now have changed ownership since 1982. That year, the News Press and Gazette Co. of St.

Joseph, purchased WJTV-Channel 12 a CBS affiliate from a group of local businessmen known as Capitol Broadcasting. In 1984, Civic Communications, a group of Mississippi and Texas businessmen, purchased WLBT-Channel 3 a NBC SeeWAPT.JB REGIONAL QUOTATIONS Over the Counter Bid Ask Home Fed. of Meridian Wk 16 Am. Public Life Ins 80 KLLM 16 1714 Bancorp of Miss. 20Vi 22 Lamar Life Corp.

90 98 Bancorp Cvts. 101 103 La-Z-Boy 77 78 Bench Craft 1114 11 Mobile Comms. CI. A 22 231 Citizens Growth Prop. 11H 1314 Mobile Comms.

CI. 23 23 Congress St. Prop. 9K 1014 Morrison, Inc. 2614 26 Deposit GuartyCp.

36 3614 The Parkway Co. 21 21 Deposit Guarty Cvts. 131 133)4 Peoples Fin. Co. Bikwi 940 D.H.

Holmes 22 2314 Prospect Group 10 10 Dixie Nat. Corp. 2 314 Rankin Century Corp. 4814 5114 EastoverBank 2 '4 214 Rockwood Nat. Corp.

3 314 EastoverCorp. 17 18 Seaxe Energy 14 1st Capital Corp. 27 2814 Service Merchandise 5 5 1st Corp. Kosy 46 48 Shoney's 27 27 Grenada Sunburst 15 15 Southern Minerals 314 4 Hancock Holding Co. 100 Timber Realization 114 114 YellowFreight 31)4 31 NYSE AMEX Bid Ask Bid Ask BellSouth 38 39 EastGroup 2914 29 First Miss.

Corp. 12 12 School Pictures 6 6 Middle South Ut. 1114 11 Morgan Keegan 13 1414 Southern Co. 24 2414 FAA chief tells 10 states to expand airports The Associated Press WASHINGTON The head of the Federal Aviation Administration warned on Thursday that unless immediate steps are taken to expand busy airports and build new ones, travelers will find long flight delays a regular occurrence by the mid-1990s. FAA Administrator Donald Engen sent letters to the governors of 10 states in which airport congestion at 16 airports will be most severe and urged them to immediately begin studying sites for larger airports or new The shortage of airport capacity is "the single greatest challenge facing the nation's aviation system," Engen wrote the governors.

"Time is of the essence," he wrote the governors, noting that airport construction likely will take five to 10 years and in some cases longer. The letters were sent to the governors of Georgia, Massachusetts, Illinois, Texas, California, Florida, New Jersey, New York, Pennsylvania and Missouri, an FAA spokesman said. Meanwhile, in a speech Thursday to the American Institute for Aeronautics and Astronautics, Engen also criticized state and local officials for not dealing with the airport congestion problem. The FAA estimates that by 1994 the number of takeof fs and landings at the 16 busiest airports will be more than double their capacity. The 16 airports are: Atlanta (Hartsfield), Boston (Logan), Chicago (O'Hare), Dallas-Fort Worth, Houston (Intercontinental), Los Angeles, Miami, Newark, New York (John F.

Kennedy and LaGuardia); Washington (Dulles and National); Philadelphia, Pittsburgh, San Francisco and St. Louis (Lambert). MONEY RATES Federal Reserve discount rate 5.5 Prime lending rate 7.75 T-Billyield(6mos.) 6.44 VA mortgage rate 9.5 W. Texas Intermed. Crude $18.73 (up 13c) Source Oil Buyer's Guide.